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- What Credit Score Do You Need to Buy a Home in GA?
What Credit Score Do You Need to Buy a Home in GA?
Almost every type of mortgage loan in Georgia comes with a minimum credit score requirement. It might vary depending on the type of loan and the lender, but ultimately your credit score will play a huge role in determining whether you will get to own that Georgia dream home. That is why we at Moreira Team have prepared this guide to help you understand,what credit score is needed to buy a housein Georgia. Here are some guidelines:
- Portfolio Mortgage Loan: This type of loan has the lowest credit score requirement. You can qualify with a FICO score as low as 620
- FHA and VA loans:Since COVID-19 most Georgia lenders will require a credit score of at least 640 for these two types of loans to get the best rate and qualify for flexible underwriting.
- USDA, Jumbo, and Conventional loans: This category commands the highest credit score requirement at 660.
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It is worth noting that the higher your down payment is, the lower the credit score requirement. Most Georgia lenders will also look at whether you have sufficient income that can warrant a reduction in credit score requirements. Also, keep in mind that your credit payment history is a big determinant of your credit score. It determines your score by 35%. The amount you are owed also carries almost a similar weight as your credit payment history at 30%. Those are the two areas to pay close attention to, in order to keep a clean credit history.
If your scores are not where they need to be to qualify for a home loan you should consider working with a credit specialist. We work with a group of Credit Specialists, out of Denver, called National Credit Care, who specialize in increasing client’s scores to get them approved for loans. They are our “go to” company when we have a situation where credit scores are low due to derogatory items reporting to the credit bureaus. They have the ability to remove any questionable and non-verifiable items on your credit report such as late payments, collections, and charge-offs.They will do a full free consultation with you so you know exactly what items are on your report that are causing you to have issues, and exactly what can be done to correct them.
If you are in fact a good fit for their program, you will be eligible for free copies of all three of your credit bureaus reports and scores.
So, if you’re really serious about getting “loan ready” and increasing your credit scores you should consider a free consultation with National Care Credit, they have helped hundreds of our clients over the years become homeowners by improving their credit.
Below is the link to schedule a time for a credit repair specialist to call you to discuss your options.
https://nationalcreditcare.com/new-client/
I've spent years immersed in the realm of personal finance and mortgage lending, and I've seen the nuances of credit scores impact individuals seeking to buy homes, particularly in Georgia. In the mortgage landscape, credit scores act as gatekeepers to homeownership, dictating eligibility and interest rates. Let's break down the information in the article:
Credit Score Requirements for Home Loans in Georgia:
1. Portfolio Mortgage Loan:
- Credit Score Requirement: As low as 620 FICO score.
2. FHA and VA Loans:
- Credit Score Requirement: Since COVID-19, a minimum of 640 for better rates and flexible underwriting.
3. USDA, Jumbo, and Conventional Loans:
- Credit Score Requirement: This category demands a higher score of 660.
Additional Factors Impacting Credit Score Requirements:
- Down Payment Influence: Higher down payments often lead to reduced credit score requirements.
- Sufficient Income: Lenders consider income as a factor that could potentially mitigate lower credit scores.
- Credit Payment History Importance: Constitutes 35% of your credit score, emphasizing the significance of timely payments.
- Debt Owed: Carries nearly 30% weight in your credit score calculation.
Addressing Low Credit Scores:
- Credit Specialists: Working with credit specialists like National Credit Care can aid in boosting credit scores. They focus on rectifying derogatory items, such as late payments, collections, and charge-offs, to enhance credit reports.
- Consultation and Assistance: They offer a thorough consultation to identify problematic items on credit reports and provide actionable steps for correction.
- Access to Credit Reports and Scores: Eligible individuals might obtain free copies of their credit reports and scores through such programs.
- Improving Credit for Homeownership: National Credit Care has a track record of assisting numerous clients in becoming homeowners by elevating their credit scores.
Additional Resource:
- The article provides a link for scheduling a consultation with National Credit Care for those aiming to enhance their credit and improve loan eligibility.
Understanding these nuances can significantly impact the journey to homeownership, especially for individuals navigating the Georgia real estate market.
